Question: You are employed as the procurements manager for Able Communications, a national telecommunications organisation. You have been asked by the board of management to source a recruitment organisation that can supply both permanent and temporary staffing solutions, including administrative, call centre, management and information technology roles.
Design and develop a project procurement plan (at least 5 pages), including headings:
Introduction-the purpose of the procurement management plan is to define the procurement requirements for the project and how it will be managed from developing procurement documentation through contract closure.
1. Procurement management approach-the procurement management plan should be defined enough to clearly identify the necessary steps and responsibilities for procurement from the beginning to the end of a project.
2. Procurement definition-the purpose of procurement definition is to describe, in specific terms, what items will be procured and under what conditions. Sometimes items which must be procured for a project can be made internally by an organisation. Additionally, procurement deadlines are usually affected by the project schedule and are needed by certain times to ensure timely project completion. This section is where these items must be listed, justified and the conditions must be set. Any important technical information should also be included.
3. Individuals can be listed with authority to approve purchases in addition to or in the absence of the project manager.
4. Type of contract to be used-the purpose of this section is to describe the type of contract to be used so the contracts and purchasing department can proceed accordingly. There are many different types of contracts. Different procurement items may also require different contract types.
5. Contract approval process-the purpose of this section is to define the process through which contracts must be approved. This section should clearly identify the rules for all procurements.
6. Decision criteria-the purpose of this section is to define the criteria used by the contract review board to decide on what contract/s to award.
7. Vendor management-the purpose of this section is to describe the roles and actions the project team and purchasing and contracts department will take to ensure that the selected vendors provide all of the products/ services agreed upon and that the appropriate levels of quality are maintained.
8. Performance metrics for procurement activities-this section describes the metrics to be used for procurement activities associated with the project. These metrics might be used to ensure the project stays on schedule regarding procurement activities. They might also be used to compile data on the performance of various vendors in order to assist with future procurement activities' vendor selection criteria.
9. Approvals and signatures.